Black Rock Mining Limited · ASX:BKT
Black Rock Mining — Shareholder Meeting (November 2017)
22 slides from Black Rock Mining's shareholder meeting presentation, Nov 29, 2017
Slide 1: AGM Presentation November 2017
For personal use only A G M P R E S E N TAT I O N NOVEMBER 28 2017 Naturally Better Graphite BLACK ROCK MINING (ASX: BKT) BLACKROCKMINING.COM.AU BLACKROCKMINING.COM.AU
Slide 2: Important information
Important information For personal use only The release, publication or distribution of this presentation in certain jurisdictions The information in this report that relates to Exploration Results and Mineral may be restricted by law and therefore persons in such jurisdictions into which Resource S
Slide 3: Table of Contents
Table of Contents For personal use only 1. Black Rock Mining 2. Corporate Overview 3. 2017 – From explorer to developer 4. 2018 – Construction ready 5. The Mahenge Graphite Mine 6. Graphite Market 7. Summary BLACKROCKMINING.COM.AU 3
Slide 4: Black Rock Mining
1. Black Rock Mining DEVELOPER OF THE MAHENGE GRAPHITE MINE For personal use only Mahenge Graphite Successfully delivered Project – truly a optimised PFS with disciplined Simple concentrate world-class deposit “crawl walk run” strategy only business model • Lowest quartile FOB costs • Increased NPV1
Slide 5: Corporate Overview: Senior Management Team
2. Corporate Overview For personal use only SENIOR MANAGEMENT TEAM CONTINUES TO BUILD ON TRANSITION FROM EXPLORER TO DEVELOPER JOHN DE VRIES RICHARD CROOKES STEVE COPULOS GABRIEL CHIAPPINI ANTHONY HALL CEO and Executive Non-Executive Non-Executive Non-Executive Director Head of Strategy Director Cha
Slide 6: Corporate Overview: Undemanding Market Capitalisation
2. Corporate Overview UNDEMANDING MARKET CAPITALISATION FOR A WELL FUNDED For personal use only ADVANCED WORLD CLASS PROJECT CORPORATE SNAPSHOT SHARE PRICE (12-MONTHS) ASX Ticker BKT 4.5 $0.18 Millions Share Price $0.062 4 $0.16 Shares on Issue1 443.7m 3.5 $0.14 Options 47.2m 3 $0.12 Performance Rig
Slide 7: Tanzanian Centric Operating Model
2. Corporate Overview For personal use only TANZANIAN CENTRIC OPERATING MODEL BUILDING SYSTEMS AND PROCESSES TO UPLIFT LOCAL SKILLS TO A POINT WHERE ASSET CAN BE RUN FROM WITHIN COUNTRY: • Bolt on/off • Lower long term cost base • Increased premium (bolt on/off) • Consistent with legislative reset a
Slide 8: 2017 – From Explorer to Developer
3. 2017 – From Explorer to Developer For personal use only TRANSITIONAL YEAR THAT ESTABLISHED THE MAHENGE GRAPHITE MINE AS A WORLD CLASS PROJECT Resource Compelling Optimised 300 cycle battery increased to PFS delivered PFS delivered test work complete over 200m for 160k for 250k showing PROJEC tonn
Slide 9: 2018 – Construction Ready
4. 2018 – Construction Ready CLEAR FOCUS For personal use only Tanzania Complete Drill Out of first 5 years Mining code expected soon. Investment Currently at 50%. Quantifies variability assessment already includes free carried and range of plant performance and royalty changes outcomes. Defines pro
Slide 10: Mahenge Graphite Project
5. Mahenge Graphite Mine For personal use only Ulanzi HIGH-GRADE RESOURCE CAPABLE OF DELIVERING A MULTI-GENERATIONAL MINE WITH Mahenge Graphite SIGNIFICANT SCALE Project Cascades Image showing project location in Tanzania Image showing Ulanzi and Cascades localities. Grid spacing is 500m. Feed profi
Slide 11: Outstanding Financial Metrics
5. Mahenge Graphite Mine For personal use only OUTSTANDING FINANCIAL METRICS KEY PFS INVESTMENT METRICS • NPV10 of US$905m • IRR of 45.1% • EBITDA in first full year of production of US$220m (EBITDA margin of 66%) PEAK CAPITAL INTENSITY VS FINAL RUN RATE SENSITIVITY ANALYST ON BASKET PRICE ASSUMPTIO
Slide 12: Industry Leading Pre-Production Capex, Margin, Concentrate Grade
5. Mahenge Graphite Mine INDUSTRY LEADING PRE-PRODUCTION CAPEX, MARGIN, CONCENTRATE For personal use only GRADE WITH A MULTI-GENERATIONAL MINE LIFE Key parameters of the Mahenge Graphite Project KEY FINANCIAL Unit Single Two Three LOM • Three stage construction to deliver a maximum of 250k PARAMETER
Slide 13: Three Phase Production Development
5. Mahenge Graphite Mine For personal use only Match likely Low Production Meaningful scale demand growth Capex in battery market Spheronising, Annual EBITDA of purification and Coating US$220m PHASE PHASE PHASE 1 production of 2 production of 3 production of Plant 80ktpa 80ktpa 80ktpa Targeting hig
Slide 14: Engineering Studies, Organisation and Market Development
5. Mahenge Graphite Mine For personal use only ENGINEERING STUDIES • Modular approach results in higher level of final engineering before execution decision is made • Modular approach minimises in-field risk via completion testing and fixed price deliver at factory gate • Assembly vs construction mi
Slide 15: MOUs Signed With Real Industry Participants
5. Mahenge Graphite Mine For personal use only MOU’S SIGNED WITH REAL INDUSTRY PARTICIPICANTS MEIWA BOTIAN BATTERY TESTING • Part of Mitsubishi group of • Existing spherioniser in Chinese • Long cycle data companies market available to customers to facilitate acceptance • Existing major player in •
Slide 16: Cycle Testing – Industry Standard for Consumer Appliance
5. Mahenge Graphite Mine For personal use only 300 CYCLE TESTING – INDUSTRY STANDARD FOR CONSUMER APPLIANCE • The evidence from Mahenge graphite’s performance at 200- cycles indicates it strongly outperforms commercially available products, potentially establishing new performance benchmarks of natu
Slide 17: Tanzania Mining Framework and Licence Path
5. Mahenge Graphite Mine For personal use only In the absence of a formal State Agreement, Black Rock Mining will be Black Rock Management assuming the announced mining believes the Mahenge Graphite framework applies and it will use the Project works under the framework subject to renegotiation of a
Slide 18: Graphite Market: Demand Increasing
6. Graphite Market For personal use only DEMAND INCREASING DRIVEN BY ENERGY EFFICIENCY AND STORAGE BUILDING CLADDING LI-ION BATTERIES Increased regulation to drive move from ProGraphite(a)projects 60% growth in flake graphite polystyrene to expandable flake graphite demand between 2016 and 2025, wit
Slide 19: Graphite Market: Existing Supply Under Pressure
6. Graphite Market For personal use only EXISTING SUPPLY UNDER PRESSURE DUE TO ENVIRONMENTAL REGULATION AND REDUCTION IN SYNTHETIC SUBSTITUTES Natural Majority of current global supply comes from China. China has moved increased anti pollution emphasis, crack downs on undocumented and unlicensed ope
Slide 20: Graphite Market: Prices Increasing
6. Graphite Market For personal use only PRICES INCREASING DUE TO DEMAND INCREASING AND SUPPLY DECREASING Source BAIINFO.com Source: Benchmark Mineral Gabriel Intelligence Chiappini – Non-Executive Director & Company Secretary Anthony Hall – Head of Strategy BLACKROCKMINING.COM.AU 20 20
Slide 21: Black Rock Mining Summary
7. Black Rock Mining Summary For personal use only DEVELOPING THE MAHENGE GRAPHITE MINE The Mahenge Graphite Project has a JORC Compliant Mineral Resource Estimate of 211.9 million tonnes at 7.8% Total Graphitic Carbon (“TGC”) for over 16 million tonnes of contained graphite. INDUSTRY LEADING LOW CA
Slide 22: Black Rock Mining
For personal use only BLACK ROCK MINING (ASX: BKT) BLACKROCKMINING.COM.AU BLACKROCKMINING.COM.AU
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